Looking Back:  Uncertainty Looms For Retroactive Application of Dynamex ABC Test

By Danielle Eanet, Esq. and Matthew Eanet, Esq.

The 2018 California Supreme Court decision in Dynamex Operations West v. Superior Court marked a radical shift in California’s employment landscape when it dramatically altered the test utilized by the courts to determine whether a worker is an employee or an independent contractor. On Monday, July 22, 2019, in what can be considered at least a temporary win for California employers, the Ninth Circuit granted employer Jan-Pro’s Petition for Rehearing, withdrew the May 2019 opinion, and instead will be requesting that the California Supreme Court address the issue of whether Dynamex applies retroactively to California businesses.  

Read More
No Signature, No Problem: Enforcement of Arbitration Agreements By And Against Nonsignatories

Whether a dispute proceeds in court or in arbitration can have significant consequences for the positions of the parties and the outcome of the dispute.  It is incumbent upon businesses, investors, and their advisors to understand the scope and enforceability of all potentially applicable arbitration agreements they, their affiliates, and their associates enter into both before and after disputes arise. 

Read More
New Ruling For Religious Employers Limits "Ministerial Exception" to Wage and Hour Claims

The California Court of Appeal recently waded into the First Amendment guaranty of separation of church and state in Su v. Stephen S. Wise Temple, decided March 8, 2019. The case arose when the California Labor Commissioner sued the Reform Jewish synagogue, Stephen S. Wise Temple, which operates a preschool, for failing to provide 10 minute rest breaks, 30 minute meal breaks, and overtime pay to its teachers, as required under California’s Labor Code. The Temple argued its teachers were exempt from the state’s law requirements under the “ministerial exception,” first developed by the courts in 1972 and universally recognized, including by the U.S. Supreme Court.

Read More
The Perks of Waiving Management Fees in Limited Partnerships: A Win-Win

Since the early days of private equity, funds, mostly organized as Limited Partnerships, have traditionally compensated General Partners, representing investment firms, via a management fee, generally an annual 2% of the total committed capital, and a carried interest, typically 20% of the funds’ future profits. 

But a waiver of these fees can be beneficial for both Limited and General Partners. David Bismuth explains why.

Read More
If You’re an Investor In a Start Up and You Lose All Your Money, What Are Your Options?

Investing in a startup requires a healthy appetite for risk, and with startups sometimes you have to kiss a lot of frogs to find a prince or princess.  When the start up you’ve invested in fails, there are prudent steps to take before the company  closes its doors (or garage doors).

Read More

California Employers face ever changing requirements in the second half of 2018—minimum wages are going up in certain cities arbitration agreements can include class action waivers, national origin discrimination expanded, and a new test to determine whether a worker is an “independent contractor” or an employee.

Read More